I have the following problem

a couple wants to but a car worth 420000. they have two options on how to buy it.

they can either lease it. where they have to pay 15000 up front and then pay 3895 every month for 3 years and then return the car.

their second option is to pay 20% + 8500 up front. and pay the rest of as annuity loan with annual nominal interest of 1.8% and with monthly interest accruals.

a) find and describe the list of repayments for both of the options

b) calculate and compare the present value of the repayments over a three year period for both options. use the interest rate from the second options as discount rate.

the expected sale price of the car in the three years is 300000

c) what is the couples capital gain after three years if they choose to buy the car. and what is the the present value

d) at what price after 3 years does the two options have the same present value.